US stocks plunge on recession fears

Wall Street stocks plunged on March 10 as investors worried that uncertainty over US President Donald Trump's tariff policies could push the world's largest economy into recession, according to AFP.

Technology stocks led the decline on March 10, with the Nasdaq (concentrated in technology stocks) falling 4%, marking its biggest one-day drop since 2022, according to AFP. The S&P 500 fell 2.7% and the Dow Jones fell 2.1%.

A trader works on the floor of the New York Stock Exchange in New York City, U.S., on March 10.

Big tech stocks also saw big declines, with Elon Musk’s electric car company Tesla falling 15.4%. Other stocks in the so-called Magnificent Seven, including Alphabet, Amazon, Meta and Nvidia, also fell.

The US stock market's performance came after President Trump refused to rule out a recession in 2025, saying there would be "a transition period, because what we're doing is huge, we're bringing wealth to America," according to AFP.

While the market was previously driven by hopes of tax cuts and deregulation, Steve Sosnick of Interactive Brokers noted that immediate concerns about tariffs have kept consumers and investors from moving forward.

Trade war breaks out as Trump officially imposes tariffs on Canada, China and Mexico

Since taking office in January, Mr. Trump has imposed tariffs on imports from Canada, Mexico and China. A new wave of tariffs is looming this week, with a 25% tariff on steel and aluminum set to take effect on March 12.

"The ongoing confusion over tariffs and concerns that the cuts from DOGE may be excessive have led to a drop in consumer sentiment and are leading to fears of a recession or higher inflation or both," said Sosnick, referring to the sweeping cuts to the federal government overseen by billionaire Musk and the Office of Government Efficiency (DOGE), according to AFP.

Source: https://thanhnien.vn/co-phieu-my-lao-doc-vi-lo-ngai-suy-thoai-kinh-te-185250311102125607.htm